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i'm jim cramer and welcome to my world. >> you need to get in the game! firms are going to go out of business and he's nuts, they're nuts! they know nothing. >> always like to say there's a bull market somewhere. >> "mad money" you can't afford to miss it. hey, i'm cramer. welcome to "mad money." welcome to cramerica. a lot of people want to make friends. i want to try to save you money. my job is not just to entertain you, but i'm trying to teach and educate you so call me, 1-800-743-cnbc. look, maybe it just needs to go lower.
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that's what i thought all day as the market see-sawed. the dow closing down 90 points, s&p back sliding .83%. nasdaq falling 0.97%. to me the stock market is represented by the broad averages. the sum of the evidence that's out there right now about where things are headed in the future. in the last 24 hours, the weight of the evidence has shifted to the negative. unless we get some big breaks here, these negatives will begin to be reflected in the averages beyond where they went out today. you know i've said repeatedly i'm willing to take a pass of the last percent or two of the rally because i don't want to be greedy. bulls make money, bears make money and hogs are slaughtered. i thought it would take out the high by now, inspiring too much short-term euphoria. that hasn't happened, which in itself i find worrisome.
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i didn't that like so many of the loudest bears out there like adam parker, nice guy, morgan stanley, have just turned bullish. it did bother me that alan greenspan came out last week and said the markets do not reflect irrational exuberance, making fun of himself during the '90s when he said there was irrational exuberance when the market was going up and the market proceeded to rip again. wrong before, wrong again? i didn't like that meredith whitney widely known as a bear on the banks came on air and said she liked them very much. a couple of people who went negative on our air admitted they were wrong and got more positive after a big move up. not what you want to see. look, let's accept the fact that all these are about investing with irony, the idea that the wrong people getting positive might mean that the right people should skedaddle. not very scientific. more anecdotal. last night i said ben bernanke should stay easy because he didn't want to repeat the mistakes of the 1937 after we
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had nearly worked our way out of the great depression. he seemed more concerned than most that things could go very wrong. i thought when i left the office yesterday that he might have just said that to placate the bears, who are demanding he tighten because housing is coming back so hard and so fast. what happens if it turns out he is not just throwing a sop to the bears? what is keeping bernanke up at night? i've got a laundry list of worries worth keeping in the mix. they could shift the preponderance of evidence further into the bear camp than i would like to see. a referendum while not trying to capture any more up side, either until things get better or prices get lower. first, while i've made it clear i don't believe the cyprus situation is a lehman event, i also don't trust the europeans to handle this right.
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that means we might have a sell-off tomorrow ahead of the deadline to resolve things or monday, either because traders don't want to go into the weekend what's known as long a lot of stock, meaning they own a bunch of -- put a lot of capital in stocks because europe might screw it up. or because on monday we get the denouement of the banking crisis and it ain't pretty. ultimately cyprus won't matter to our markets. that might be further away than we would like. in the interim a cypriot collapse will bring out sellers, betting there may be a near-term solution because people feel this is all just a haggling back and forth before we get the real thing. i don't know. maybe it isn't. why don't we wait to see how it plays out? maybe it's brinkmanship and it fails and somebody blinks and it's bad. two, our president has been really silent since saying the budget sequester will produce very big lay-offs and a weakened economy. he's gone radio silent.
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we know next week that will be the week when the president will most likely use his podium to talk about how horrible sequestration will be, because it kicks in at the end of the month. perhaps the excellent jobless numbers we got this morning will be the last good one if it's as bad as obama scares us into thinking it is. we know that local and state governments are cutting back. that's not positive. finally, there is this missed quarter evidence. federal express did blow up. it was not a good number. caterpillar is down 12%, retail sales number might not translate into weak earnings. i was prepared for cat sales to be flat, maybe up a little, not down double digits. then we got oracle. while oracle almost always bounces back, making my charitable trust which owns the stock want to buy more, i have to believe the macroenvironment has gotten worse than we thought. oracle is not that bad a company. you don't want to get too negative either. what could be right?
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while i don't expect a grand bargain in washington, i think that's off the table, it's always possible and if that happens and you're short the market, betting against it or don't have enough stock, you will be left behind. you will be crushed. you short the market, we get a grand bargain, one solution. second, the brinkmanship game in europe could get resolved with some solution we don't know about yet that works out, one that is viewed as much less onerous than the current plan on the table. that is a real possibility. third, china. they just came out with a bullish purchasing manager's report last night. might actually be roaring back to life. it's difficult to determine. don't laugh though. some of the stocks uniquely correlated with china, noticeably the shippers and nordic american tankers, they've
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been so hot that it's hard to believe the people's republic won't be igniting soon. those baltic freight numbers are too positive. plus, let's remember there is a ton of forgiveness in this market. stocks that disappointed not that long ago are now well above where they were. the sellers materialized for an hour or so. there are always buyers underneath. the market remains red hot with ross stores joining the stores coming back that were thought to be down for the count. coach showing some pep. lulu recovering. walmart, costco, nike reporting tonight looks real good. i continue to be impressed by how well the american consumer seems to be holding up. and yes, housing. housing is amazing. it was the lead story in "the new york times" this morning about that coming housing shortage. we are obviously not building enough houses in this country, given the affordability of homes since they are the highest since they've been keeping work on that number.
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it's interesting to see how we can put millions of people to work as we take home building from 1 million to 1.2 million units this year and 1.5 million next year. no one is talking that bullish expect for me. all of these positives, are they going to offset most of the negatives? yes. most. which is why i say i want the stock market lower so we can do buying without feeling like i'm sticking my neck out. the risk/reward is not that good enough to merit new commitments up here. upon further reflection, ben bernanke might be onto something more than lip service when he says we could slip back into weakness. there is enough worrisome evidence to give me pause and make us take a pause from buying. don't buy, don't buy, don't buy. >> until we have a clearer picture of what can go right and not just an obvious picture of what can go wrong. todd in new hampshire. todd. >> caller: hey, cramer, love the show. >> well, thank you. >> caller: bought shares of radiant, mortgage insurer.
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shot up like a rocket ship. i searched for similar ways to play the housing recovery. you recommended insurance companies with rising rates. and the title insurers. in light of the fed's pledge to keep interest rates low and long if necessary and possibility rates could creep up anyway, what do you think about first american financial? faf. >> here is the way we play it. when i've got a winner, i don't try to find another winner that could be better than a winner. radiant is the horse to be on. radian is the way you play this. this thing has got much further to run, rdn. gary in ohio, gary. >> caller: hi, jim, how are you? supervalu closed on a sale today. supervalu got an upgrade, stock upgrade and right now 40% of the
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stock is short. question i have, jim, does this possibly set supervalu up for a major short squeeze like what happened to vw several years ago? >> no. i don't think so. it does -- safeway's been doing very well. kroger's been doing very well. it's possible that svu does well. right now it's the revenge of the nerd time in the supermarket business. dave in california, please. dave. >> caller: boo-yah, jim. grateful greetings to cnbc's new oracle of oligopoly. >> i like that. >> caller: i was inspired by one of your callers with multiple reits in his portfolio. >> that was a great call by that guy. >> caller: i always like the reits. i followed his lead. here's my situation. i have one in retail, one in forest products and one in senior care already.
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what i'm looking for is who is the best in breed in commercial office space? >> best in breed in commercial -- i like that egp. you might think that has too much warehouse, but they are a great industrial property company. i think they're terrific. egp has been a real winner for us. i'm going to send you there. i do think, by the way, that boston property, mort zuckerman has a really good company if you want pure office. i like egp. i think it's inexpensive. the negatives, let's say they've gotten louder lately. you know what? this is a very good time to -- don't buy, until we get a better picture of what could go right rather than just what could go wrong. "mad money" will be right back. coming up -- data into dollars? as business moves around more data than ever, could qlik technology's connections to
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social and mobile put you in touch with a winner or is oracle's miss a sign to stay away? cramer talks to the ceo next. later -- chief choice? some high-profile companies have recently had big changes at the top. from the golden arches to the king of club retailers. but are these blue chip shares still strong with new leadership at the helm? cramer's looking inside the executive suite to find out. all coming up on "mad money". >> don't miss a second of "mad money." follow @jimcramer on twitter. have a question? tweet cramer #madtweets. send jim an e-mail at or give us a call at 1-800-743-cnbc. miss something? head to
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on a day where tech especially got hammered courtesy of the big oracle disappointment, is there any life among the rubble created by oracle's blow-up? specifically i want to talk
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about qlik technologies. it's a business intelligence software company roaring of late, up 22% year-to-date. more than 50% from the november bottom. pretty fabulous. it got hit a little hit today, down 52 cents or 1.9%. to put it in march madness terms, we've got to find out will qlik crash and burn like kentucky or are they the gonzaga of analytic software? i'm picking louisville, just so you know. one of the major tech themes that works with this idea of big data, there is all this digital information out there increasing by the day. companies need to find the best way to analyze this to optimize the way their businesses are run. that's where qlik comes in. traditionally the way this field works, you have your data, your information technology puts together a report. then you can access through
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various software applications. qlik changed that model. they've developed a user-driven business intelligence platform that allows the people making decisions to access and analyze the data directly. it allows people to collaborate and share their findings. volkswagen uses the qlik platform and suntrust chose their platform for analyzing corporate performance management, risk management, finance, lending, many more. qlik reported february 14th and results as well as forecast for 2014 were so strong the stock shot up four points the next day. tons of congratulations on this conference call. they had a rough year in 2012. as of a month ago it looked like the business turned the corner. the stock is far from cheap, selling for 47 times next year's earnings estimates even with a 33% growth rate. let's check in with lars bjork, technologies. welcome to "mad money." how are you, sir? >> i'm great. >> lars, we've been recommending suntrust. we think it's a great regional bank. since this is the first time you're on, i'm a bank officer,
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lending officer at suntrust. how does qlik view help me? >> what you want to have is a dashboard in front of you so you can view that customer, jim his portfolio doing? what are his options? i want to have that at my fingertips. >> what would happen otherwise? would i have to make calls? let's say traditional network management company would not give me that kind of report to be able to manipulate and find out stuff? >> i think you will get a snapshot, but a static view. you want the dynamic interface. you want to drill in, what happened a year ago? what if this happens? what if we simulate the interest rate going up? what happens if europe hits another bump? that's the type of things you want to put into power of the user. >> here is what i think people would say.
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who is it that would answer that stuff? is the data, is the information, the answer in that data? >> very much so. >> it is. >> very much so. i'll take another example. everyone knows about nasdaq. they now have a nas-dash. that is his dashboard managing their business on a day-to-day basis. seeing what's happening in the market on a realtime basis. >> the government's often talking about they could, they would love to spot insider trading when it happens. spot patterns that don't seem right. should the government be using qlik view? >> absolutely. >> they don't have it? >> not to my knowledge. >> one thing i saw was this is from a j&p report. big data not only drives additional use cases, but puts spotlight on the deficiencies of the legacy analytics players. what are the deficiencies that you put the spotlight on?
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>> i think we touched on it a little bit. the big important thing here is self-service. you want a tool that you master. instead of being provided to you as a static view. you want to be able to shift a model that you analyze your data as the business shifts. you want to be in control of the experience. you want to have what we call the consumerization of enterprise software. the same experience you have using your iphone. why shouldn't you have that in enterprise software? >> i hear you, but i also wonder. you had tremendous european sales. i know you're good in america. we just had oracle last night. oracle is a company i'm very fond of, frankly. mr. allison is one of my idols in business. they can't do as well in this environment. why is qlik view doing well if oracle can't? >> i think we are in one spot, they're total market. i think we drive the next generation of software. ease of use, time to value, agility and flexibility are the key drivers. more and more corporations are seeing that. if i don't empower my employees
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to make smarter decisions, i'm missing out on a big opportunity. we've been in that business for 20 years. we only focused on the user and the user's behavior when it comes to interacting with data. >> mark benioff has been on our show from sales force. he's trying to develop a dashboard people can use, sales people can use on the road, for instance. why is yours better than his or do they work together? >> they work together. i think mark built a great company. he's disrupted an industry just like we are doing in this industry we are in. one of our most common data sources for our clients is his system. so we sit on top of sales force and maybe two or three other sources and provide you with a dashboard of insight from those data sources. >> i was at twitter at their new york city headquarters today. it's quite fun. they get lots of data. they are always trying to
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analyze where the trends are, too. are they doing work with qlik view? do you do any social media where you look at big patterns and you reach conclusions? >> i would put it this way. we are the last mile of that trend of unstructured data. what i mean by that, you've got to see the pattern. once you have that, you've got to have a tool to analyze it. i wouldn't say we are the tool that sits directly on top of social media. we could do it, but we are certainly the tool that can feed in social media into other types of data sources. >> so i'm pepsico. i'm trying to figure out modern social media and have the best decisions made from it. i bring in qlik view and we ask questions of the software? i'm trying to figure out where you fit. >> what you want to do is have a wholistic view. you don't want to just look at social feeds. you want to look at sales and comparisons with social feeds, trending, what's happening in the stores. how did this ad campaign run? that's when you get that view to
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make the smart decision for all your data. >> last question. ibm bought many companies to try to become more and more intelligent. you want to stay independent or is there a level where an ibm calls you and says we've got to add you to the portfolio? >> i think you should ask them that question. >> that's fair. >> i would also say this. there is such great demand in the market for analytics, the next wave we pioneered, you can never rule anything out. we are out there to continue to create a successful company. time will tell. >> it's been very successful. that was a great quarter of all the companies in software business, you're quite a contrast to oracle. oracle was a little painful today. that is lars bjork. ceo of qlik technologies. this is where the growth is, regardless of europe, regardless of the united states. these guys are hitting the cover off the ball. after the break, i'll try to make you even more money. coming up -- chief choice? some high-profile companies have recently had big changes at the top.
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from the golden arches to the king of club retailers. but are these blue chip shares still strong with new leadership at the helm? cramer's looking inside the executive suite to find out.
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beware of rules that are too sweeping to make sense. i always tell you whenever there is a sudden change in management at a company whose stock you own, when the ceo or worse actually, believe it or not, the chief financial officer leaves without warning, you absolutely must -- sell, sell, sell! but i've gotten a lot of pushback on this rule, particularly on twitter @jimcramer. ceos retire all the time. that is not always a bad thing.
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it's not always something we should worry about. the emphasis here is on the word "sudden." when a top executive leaves without warning. more importantly, without a plan of succession. that's when you need to get scared, okay? and sell the darn stock. there is a world of difference between a sudden management change and planned succession. sudden management change is when jeff skilling, the ceo of enron decided to quit for, quote, family reasons in the summer of 2002. the stock ultimately went from 47 all the way down to zero. i don't know how that thing stopped at zero. or more recently we had a sudden management departure in the israeli semiconductor company
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that rallied like crazy in 2012 on the strength of some truly incredibly seeming numbers. i recommended this early july. by the end of the month it was trading over $100. early september it was a $119 stock, but then on september 10th, the cfo announced he would be retiring, personal reasons. the stock got banged down to $101. three days later i put it in the sell block because when the cfo leaves unexpectedly, you have to sell. especially with no transition. that's really key. sure enough the stock dropped about 50% since then even as the s&p 500 is up 8% over the same period. as far as i'm concerned, i'm keeping it in the penalty box, all right? we saw the same thing with ulta salon, the beauty retailer that had given us huge games. february 13th it announced the ceo was stepping down.
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this came on the heels of the chief financial officer having left in october. ulta has an interim ceo, temporary guy, something you don't want in a retailer. march 8th when ulta was $89 and change, i told you not to touch it. the company reported after the close last thursday and the stock plunged on disappointing guidance in just 24 hours. since then ulta has rebounded back to $76. you managed to sidestep a 12% decline if you listened to me when i told you to sell. thank you herb greenberg. a brilliant retail analyst who downgraded ulta upgraded it after that quarter because the stock had come down 25% from recent highs. i respect him very much and the stock bounced four points since the upgrade. plus ulta has brought in a permanent chief financial officer. i am still telling you to stay away from this one until they find a permanent ceo and possibly longer.
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i think the trends don't look so good. you've got to have certainty at the top to get me to like that one. consider that two weeks ago true religion, the jeans company announced it wouldn't be renewing its contract with its founder and now former ceo who stepped down this tuesday. today we found out from the "new york post" those firms true religion is trying to sell itself to might be getting out of the bidding. an unexpected leadership change is rarely a sign good things are happening. of course, not all unexpected ceo departures are negative. when a bad ceo gets the boot, see you later, that's always a good thing. hence why we have the "mad money" wall of shame to call out these incompetents. sometimes the boards need to see them on the wall of shame to get motivated. everybody already understands that things are going poorly. for example, the dog that is groupon roared after it announced its foolish founder and ceo andrew mason was being axed at the end of february. same thing happened to avon when wall of shamer andrea young was forced to resign as ceo last april and had to step down as chairman in october. what about when a good ceo leaves, or a great one? we never like losing a talented manager. it's always going to create additional uncertainty. as long as there is a succession plan in place, it shouldn't be that bad. it's certainly not a deal breaker that should keep you away from a stock like when the people at the top leave unexpectedly.
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consider mcdonald's. in march of 2012 we learned jim skinner, the brilliant ceo will be stepping down june 30th to be replaced by don thompson. i wish skinner could have stayed forever, but the transition was nothing like the shambles that was melanox or ulta salon because thompson is skinner's protege and heir apparent. the stock has been very strong in 2013, rising ten points to nearly $100. thompson's seasoned, ready and rocking. mcd goes higher. how about costco? september 2011, founder and long-time ceo jim senegal announced he would step down at the end of that year. senegal had an amazing track record. he was replaced by craig jelinek. since he took over, costco has given you a 35% return with dividends, including the big special dividend they announced late last year. that outperformed the s&p 500. costco's latest quarter was excellent. again, i think the stock, room to run. then there is arm holdings. they announced a ceo succession
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plan earlier this week. as the current chief executive plans to step down in july. arm already has success and ready to go, the current president. he's groomed for the job. that is what a ceo retirement is supposed to look like. here is the bottom line. i don't like it when good ceos retire. it's only a red flag when a top executive retires suddenly, operative word suddenly, without warning, without preparation. when both the ceo and cfo leave to spend more time with their family, that's a real sign things could be just about to go haywire. be careful. the only exception, when a wall of shamer is fired, then you're free to start buying immediately unless he or she already destroyed the company. go to hartley in new york, please. >> caller: hey, how you doing, jim? >> real good. how about you?
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>> caller: i'm okay. so me and my father, we have like 300 shares of yahoo. he bought it a while ago when it was somewhere around $16. didn't go anywhere for a while. went down, and now it's up more than $6 a share, i think. he thinks it's going to go up higher. they've been going up because of the new ceo, i guess. i've been trying to convince him to sell at least some of it, maybe 50 shares or something. >> i think you're both right. first of all, no one got hurt taking a profit, ever, not that i know of. i do think yahoo goes higher. i think the modernization plans discussion is really good. this melissa meyer, every move she made i endorsed, right down to having people work in the same place to start to get to know each other because the
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turnover at yahoo had been tremendous. joe in new york. >> caller: boo-yah! >> boo-yah. >> caller: a quick question about procter and gamble shares. would now be a good time to sell at a 52-week high and since share price has flatlined over the past month? >> i don't want to call it flatline. the stock has been very good. i was very critical of him. he was a wall of shamer. he got taken down before the big split because he meant business. my charitable trust had a great position. rang the register because it was just too juicy. i can't tell you to not sell if i sold for the trust. don't sell at all because this kind of stock on a pullback is all over again. when a ceo hits the road, it's worth the time to stop and take a look. if a plan is in place, things may be fine. if it's a sudden move, you know what? that's a red flag all over. don't move. "lightning round" is coming up next!
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it is time, it is time for the lightning round. when somebody calls and i tell them to buy, buy, buy or sell, sell, sell, then you hear this and it's over. are you ready skee-daddy for the lightning round? john in my home state of pennsylvania.
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john! >> caller: boo-yah! how you doing, jim? >> i'm waiting for the phillies to get started unless you're a pirate fan. that would be a bummer. >> caller: hamels looks good this year. i'm calling about ameren pharmaceuticals. i've been following this company about the past year and a half. it looks like the two-headed swan in the marketplace with indications it's a one-hit wonder for product. the marketplace starved astrazeneca, glaxo, merck and pfizer. >> we are going to veto it. this is like the mets without having dickey, okay? we get the picture right, clear on that one? don't buy. let's go to tyler in virginia. tyler. >> caller: boo-yah, dr. cramer. >> boo-yah. >> caller: i like your opinion on travel centers of america. i got in it two months ago and it's up 40%. ring the register or hold on? >> i've been looking at this company trying to figure out what they are going to do with natural gas. the answer is, i've got to hold this, do homework and give you a
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much better view on it. it seems too exciting to me. let's go to edie in washington, d.c. edie. >> caller: this is edie. this is a reit question. what is your opinion of two harbors concerning the issuance of 50 million common shares, shares of spy their spin-off and lowering their dividend? >> look, we don't want to see all that happen. remember, these are companies that do variable dividends, okay? whether it be anly or agnc. these are companies that do that and reinvest that money. don't worry about it. it's a good situation. louise in california. >> caller: professor cramer, thanks for all you do for the little guy. my stock is realogy. it was an ipo last october at the $32 range and it's in the $48 range now. >> i think it's great. i know the people at corcoran real well, which is one of their high-end business. i think this is a better way to play the real estate market than even trulia or zillow which has also been good. i like toll brothers, too. i think realogy is a great place
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to be. i need to go to tom in michigan. tom. >> caller: hello, dr. cramer. >> doctor, yeah, professor, i love all these. >> caller: i'm arnold in troy, michigan. want to ask about a company called orbital science corporation. i bought some shares a few years ago. >> i recommend it from time to time. we need a little more stable market for that one. let's hold off on that one. tom in new jersey. tom. >> caller: jimmy! >> yo, yo. >> caller: tommy from lafayette, new jersey. does cisco deserve the hit it got today? >> stephanie link, co-director of action alerts with me, we were in a tizzy this morning. we believe the long-term picture for cisco is so good. we know it caught a downgrade
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today, but the long term is so good, own for the charitable trust. i like that ratio. cisco is terrific. and that, ladies and gentlemen, is the conclusion of the lightning round. >> the lightning round sponsored by td ameritrade.
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what are you supposed to make of the markets ups and downs? what's going to happen tomorrow, next week or next month? this market is full of pitfalls. you've got to try to avoid them. the key to surviving an unpredictable market, don't have all your eggs in one basket. that's why i play "am i diversified." call or tweet me @jimcramer. tell me your top five holdings. maybe you need to mix it up a little. let's start with a tweet from @dereklwilson who says, thanks for the education. thanks for the laughs. hash tag mad money. harlem shake, too. we did a good one. didn't get enough viewers. too many of those right now. what's going on here? under armour, cognizant communications, the home despot,
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imax, pretty good quarter, and berkshire hathaway. this is very controversial. under armour under a lot of pressure from the bears. people say they are discounting. we've got apparel, retail, tech, theater company and a diversified industrial, let's call them insurers, theater, tech, retail and apparel. that's pretty perfect. ♪ hallelujah the twitter guys? smart guys. let's go to angelo, my home state of new jersey. >> caller: how are you, jim? i want to know if i'm diversified. >> fire away. >> okay. british petroleum, bp, mondeliz, mvlz, bristol-meyers squibb, bmy, verizon, vz and public
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service enterprises, pse&g. >> let me go to work. i pay them every month. utility, bristol-meyers is one of my action alerts charitable trust names. mondeliz is a food company. verizon is telco, oil, food, drug and utility. can i say that is a perfect combination -- this portfolio it's got great companies. i'm not that concerned about bp's trial at this point. this is a model portfolio if bp wins. it's not a model portfolio if bp loses, but i like it very much. richard in a place we visited for one of our college shows, richard in iowa. >> caller: boo-yah to you, jimmy. >> nice. >> caller: from the hawkeye state overlooking the mississippi. how are you doing today? >> i'm having a real good day. how about you? >> caller: i am, too. i wanted to give a that a girl to one of your people that works
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for you, heather. she is a swell gal. >> you like heather? yeah, she's long tall sally. she went to the u of which i think you ought to watch that 30 for 30. get a little intel about the u. i'm sorry. >> caller: okay. dendreon, dndn, ford, zynga, financial select xll and zeotis. >> let me go to work. i know heather is smiling back there. toiling in the phone room. we like this spdr. it's not just one bag.
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dendreon is a very speculative drug company, zynga is a very speculative game company. zoetis, and ford needs to see europe turn around. i'm going to say get rid of dendreon. buy a diversified industrial or technology stock. zynga i'm not crazy about. go with one of our biotech stocks like nps pharmaceuticals. you need to make changes. got to make changes. that's okay. make the changes and move on. let's go to sandra in georgia. >> caller: hello, jim cramer! this is sandra from savannah, georgia. >> beautiful. that college down there is so hot. >> caller: yeah. i watch your show every night and sometimes i wonder why i worked for 20 years when i could have stayed at home and made mad money. >> you've got another 40 years to go. that's how you'll do it. >> caller: thank you for making my golden years even more golden. >> we are sharing that golden year principle. go ahead.
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>> caller: my five top holdings are keycor, kendall morgan, verizon, altria and pfizer, pfe. does that sound familiar? >> i like that. pfizer. it's kind of like bristol-meyers. here we go. this is another perfect portfolio. key corp is an action alerts name. wish it had more yield. altria, a terrific yield. kinder morgan, great yielding mlp. verizon, great yielding telco. it's a drug company, oil, tobacco and a bank. that's perfect! ♪ hallelujah >> stay with cramer.
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we have to talk about how to use this show. i've been thinking about it a lot since our eighth anniversary last friday. want to give you personal finance advice. something very many of you ask all the time. let's start with last night. we interviewed two different chief executives. one ken powell from general mills. tony sanchez from sanchez energy, first being one of the most well-known companies in the world. second being completely unknown to almost all, including me other than to watch its ipo a couple of years ago. here is behind the scenes information.
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when we book executives to come on, we put together a file of all recent research reports, conference call and noteworthy articles for me to read. that's called the homework. i also get a memo written by our research staff that includes all salient points, any insights and a summary of all they have gleaned from the same materials i read and some sample questions. that memo goes to our head writer cliff mason to be masonized, our funny term. you hear the final copy after four or five drafts that are kicked back and forth between us. that's part of the masonization process. usually three or four paragraphs that we think sum up what's the latest and why we are talking to the ceo and how the stock has done. that's the intro. we then do the interview which includes questions we all agree should be asked, but quickly veers to the ceo's words. it's about the conversation and follow-up. of course i have to deviate from the questions. then a quick sum up. i always want to spend as much time as possible with the ceo. i'm getting time cues to go. i often violate them and my
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stage manager has to crack the whip, making signs like monkey shines to tell me how desperate everyone is to wrap things up. i try to ignore them initially but can't get away with it forever. i don't get to give you a download of how i get to use that interview. if i were at home i wouldn't know what to do sometimes. what would i have said if i had the time to sum up the interview with ken powell of general mills yesterday? i would have told you i was incredibly impressed how the company is doing and the company and stock are rated by the research i read. however, the stock has been on such a tear, i need to you wait until it comes back down. who is the you in that sentence? that's two kinds of people. anyone who wants steady income and growth should buy general mills. maybe buy some tomorrow morning. accepting the inevitability this stock is having a hard time going down on even an ugly day. lots of times on twitter jim cramer, give me a stock to buy for my kids. this is the stock.
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this is one of those because everyone needs cereal as they grow up. there is a natural inclination to stay involved and follow it. those who need income, want to get their kids involved and have a sleep at night growth stock, gis, general mills is for you. then there is sanchez energy. if there could be a more polar opposite stock to general mills, i can't think of it. this is one of the most speculative names in the stock market. the company paid a great deal of money to buy uncertain acres. we don't know how much oil is in it, but we love eagle ford prospects. we don't know if the acreage is good. if they have a hit, you have a huge winner, substantial appreciation. if they lose, this one is going down and maybe going down hard. this stock is not only not for the squeamish, it could be downright dangerous. sanchez is for younger people with their whole life ahead of them so they can lose their investment and have plenty of time to make it back. it's not for anyone else. i wish i had time to offer that kind of insight every night, but i don't.
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i do hope, however, that it helps you now understand what it means when i say something speculative versus another stock that epitomizes safety. two different animals, exact same zoo. stick with cramer. >> jim cramer, you're one of my heroes. >> i look forward to your show every weeknight. thank you so much for helping beginning investors like me. >> when you talk about the market, i just believe that you are spot-on. >> oh, i love it. thank you so much. every night we watch you. i have learned and earned.
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Mad Money
CNBC March 22, 2013 4:00am-5:00am EDT

News/Business. (2013)

TOPIC FREQUENCY Oracle 12, Cramer 8, Jim 6, Us 5, Costco 4, Europe 4, Hoveround 4, Jim Cramer 4, Verizon 3, Heather 3, Cisco 3, Supervalu 3, Ulta 3, S&p 3, Pfizer 3, Sanchez 3, Skinner 2, Tyler 2, Thompson 2, Michigan 2
Network CNBC
Duration 01:00:00
Scanned in San Francisco, CA, USA
Source Comcast Cable
Tuner Virtual Ch. 58 (CNBC)
Video Codec mpeg2video
Audio Cocec ac3
Pixel width 704
Pixel height 480
Sponsor Internet Archive
Audio/Visual sound, color

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on 3/22/2013